Charging Regime Advisory Group

In 2011, the Charging Regime Advisory Group (CRAG) was tasked with developing a charging formula for water which could be applied to both residential and non-residential properties using the reticulated water supply.

CRAG evaluated how different tariff structures would affect different types of households and they recommended that a tariff structure of 50% fixed charge and 50% variable charge, to meet the total cost of water supply, would provide the most fair and equitable outcomes for Kāpiti residents.

On 1 July 2014, a new water charging system, with a 50% fixed charge ($188.50 annually) and a 50% volumetric charge for water use ($0.95c per cubic metre/1000 litres), became effective.

CRAG recommended a review of the tariff structure after two years of operation. The group is also responsible for on-going monitoring of the pricing and charging for water by Kāpiti Coast District Council.

On 10 December 2015, Council decided to proceed with the recommended review of the charging of the regime and to reconvene CRAG for this purpose. It proved possible to retain the original membership apart from the need to replace the two Council and the two tangata whenua representatives. The reconstituted CRAG met four times and reviewed a substantial body of data.

The CRAG concluded that while some minor adjustments may be necessary from time to time to ensure the regime’s continuing viability, the current principles and structure, the 50/50 fixed/volumetric split, should remain in place and provided seven recommendations for future water charging.

Related Policies/Strategies/Reports

Updated: 27 June 2014 The following are a number of FAQs relating to water meters and CRAG. Water meters | Specific household circumstances | Commercial and business premises | CRAG Water meters Why is Council introducing water meters? To kee...

The Charging Regime Advisory Group (CRAG) 2016 review of water pricing and charging and it's recommendations for a fair and equitable water tariff structure is outlined in the documents below. CRAG 2016 review Report (PDF, 53 pages, 1.75 Mb The Chargi...

The Council has approved, in principle, the introduction of water meters and volumetric charging as a water conservation tool, as a way to avoid risks of breaching resource consents, as a way to avoid unnecessary investment in water supply infrastructu...

The timeline outlines achievements so far and indicative dates for the group. 2011 September Introductions, agree process, work programme etc Understanding the current and future cost of water supply and maintenance; costs needed to recoup. October...